Medicare started the Recovery Audit Contractor, or RAC program, in 2003 to identify and correct improper Medicare payments paid to fee-for-service healthcare providers.
The RAC demonstration project was rolled out in six states from 2005 to 2007 and recovered $1 billion in improper payments, for a net gain of $693.6 million to the government.
How do you avoid getting audited?? Make sure, starting now, that your E&M services will be documented correctly. In other words, E&M coding education is the key.
Here is an example of a letter you DON’T want to get from CMS